Answer ALL questions in this paper. [100 MARKS] QUESTION 1 (20 Marks) REQUIRED Use the information provided below to prepare the Cash Flow Statement of Jonah Ltd for the year ended 31 December 2022. (Some of the figures have already been entered in the answer book.) INFORMATION The Statement of Comprehensive Income of Jonah Ltd for the year ended 31 December 2022 and Statement of Financial Position as at 31 December 2021 and 2022 are as follows: STATEMENT OF COMPREHENSIVE INCOME FOR THE YEAR ENDED 31 DECEMBER 2022 R Sales 2 304 000 Cost of sales (1 228 000) Gross profit 1 076 000 Other operating income 84 000 Gross income 1 160 000 Distribution expenses (260 000) Administrative expenses (104 000) Earnings before interest and tax 796 000 Interest income 68 000 Interest expense (92 000) Earnings before tax 772 000 Company tax (184 000) Earnings after interest and tax 588 000 STATEMENT OF FINANCIAL POSITION AS AT 31 DECEMBER: 2022 2021 R R ASSETS Non-current assets 2 264 000 2 200 000 Land and buildings 964 000 964 000 Plant and machinery 1 300 000 1 236 000 Current assets 720 000 660 000 Inventories 164 000 176 000 Accounts receivable 400 000 424 000 Cash 156 000 60 000 Total assets 2 984 000 2 860 000 EQUITY AND LIABILITIES Equity 1 452 000 704 000 Ordinary share capital 960 000 600 000 Retained earnings 492 000 104 000 Non-current liabilities 1 000 000 1 600 000 2 Long-term borrowings 1 000 000 1 600 000 Current liabilities 532 000 556 000 Accounts payable 440 000 492 000 Company tax payable 92 000 64 000 Total equity and liabilities 2 984 000 2 860 000 Additional information 1. Ninety percent (90%) of the sales was on credit. 2. Additional plant and machinery were purchased during 2022. There were no other non-current asset acquisitions or disposals. Depreciation for 2022 amounted to R316 000. 3. An interim dividend of R200 000 was paid on ordinary shares during 2022. There were 240 000 ordinary shares in issue during 2022. The market price of the share was R5. 4. The return on equity for 2021 was 18%.